METRICS FOR MISSION IMPACT: How Nonprofits Can Strengthen Outcomes through Quantitative Measures


Many nonprofits boast of the small percentage of dollars that go to administrative and fundraising expenses, particularly in web pie charts and fundraising pitches. Unfortunately, such claims inadvertently play into the nonprofit starvation cycle, as they reinforce underinvestment in critical programs because the true of costs of delivering services are not explained.Like all types of businesses, nonprofits have their share of scoundrels and scandals, so financial ratios have historically been touted as the way in which nonprofits can demonstrate integrity and prove their effectiveness. However, as Harold explains in the “Overhead Solution,” the next wave of nonprofit effectiveness is to help educate funders on the real cost of results using a blend of quantitative measures and qualitative narratives.